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This entry was published on 2014-09-22
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SECTION 46
No title
Urban Development Corporation Act 174/68 (UDA) CHAPTER INTRO
§ 46. 1. Notwithstanding the provisions of any other law to the
contrary, the dormitory authority and the corporation are hereby
authorized to issue bonds or notes in one or more series for the purpose
of funding project costs for restoring state properties damaged as a
result of Storm Sandy and other state costs associated with such capital
projects. The aggregate principal amount of bonds authorized to be
issued pursuant to this section shall not exceed four hundred fifty
million dollars, excluding bonds issued to fund one or more debt service
reserve funds, to pay costs of issuance of such bonds, and bonds or
notes issued to refund or otherwise repay such bonds or notes previously
issued. Such bonds and notes of the dormitory authority and the
corporation shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any funds other than
those appropriated by the state to the dormitory authority and the
corporation for principal, interest, and related expenses pursuant to a
service contract and such bonds and notes shall contain on the face
thereof a statement to such effect. Except for purposes of complying
with the internal revenue code, any interest income earned on bond
proceeds shall only be used to pay debt service on such bonds.

2. Notwithstanding any other provision of law to the contrary, in
order to assist the dormitory authority and the corporation in
undertaking the financing for project costs for restoring state
properties damaged as a result of Storm Sandy and other state costs
associated with such capital projects, the director of the budget is
hereby authorized to enter into one or more service contracts with the
dormitory authority and the corporation, none of which shall exceed
thirty years in duration, upon such terms and conditions as the director
of the budget and the dormitory authority and the corporation agree, so
as to annually provide to the dormitory authority and the corporation,
in the aggregate, a sum not to exceed the principal, interest, and
related expenses required for such bonds and notes. Any service contract
entered into pursuant to this section shall provide that the obligation
of the state to pay the amount therein provided shall not constitute a
debt of the state within the meaning of any constitutional or statutory
provision and shall be deemed executory only to the extent of monies
available and that no liability shall be incurred by the state beyond
the monies available for such purpose, subject to annual appropriation
by the legislature. Any such contract or any payments made or to be made
thereunder may be assigned and pledged by the dormitory authority and
the corporation as security for its bonds and notes, as authorized by
this section.

3. The comptroller is hereby authorized to receive from the dormitory
authority and the corporation any portion of bond proceeds paid to
provide funds for or reimburse the state for its costs associated with
such capital project costs and to credit such amounts to the capital
projects fund or any other appropriate fund.